Amazon Reportedly Working on a Free, Ad-Supported Prime Video Option

One of Amazon’s most popular products is its Prime Video service, which offers movie purchases and rentals, as well as Amazon’s own original video content as well.

And while Prime Video is bundled with Amazon Prime and its other services (like better shipping, Prime Music, and more), it still costs money, which may be a reason why some folks haven’t signed up. But it looks like Amazon is exploring its options, at least according to a new report from Ad Age.

Based on information provided to the publication from unnamed sources, Amazon is currently considering a move to an ad-supported, free option for Prime Video. This would mean Amazon could distribute customer information, as well as ad revenue, to marketers. It would also mean commercial breaks while watching content. So, similar to how Hulu works for the majority of the content on its platform.

“Amazon is developing a free, ad-supported complement to its Prime streaming video service, according to people familiar with its plans. The company is talking with TV networks, movie studios and other media companies about providing programming to the service, they say.”

The move for an ad-supported model, which would mean that marketers and other companies pay for the content so that viewers don’t have to fork over any money if they don’t want to, is seen as a direct response to some other major players making headway into the original content marketplace. Specifically, Apple. The company just recently landed a major deal to distribute a new TV drama starring Reese Witherspoon and Jennifer Aniston, a deal that actually meant a bidding war with Netflix (and others) that Apple ultimately won.

What Apple is planning for its original video content remains unknown. There have been rumors it won’t be hidden behind the Apple Music paywall, though. So how Apple plans to distribute that content remains a mystery.

Amazon’s alleged move for a free Prime Video tier may be a hint, though.